The National Bureau of Statistics said urban investment in fixed assets such as roads, power plants and apartment buildings rose by 26.5% in January and February from a year earlier, beating market forecasts for a 21.5% increase.

FORBES: China's Export Powerhouse Looking Winded

Mr Gilbert said the level of fixed-income business that had left Aberdeen Asset Management had "slowed significantly" and the company continued to be successful in attracting new investment to global equity and emerging market equity funds.

BBC: Aberdeen Asset Management 'won't reduce fees'

India is in "a sweet spot right now, " given where the yields are in the rest of the region and the flexibility the central bank has to cut, said Thomas Kemmsies, head of fixed income at Nomura Asset Management Deutschland KAG in Frankfurt.

WSJ: In India, a Dash to Lock In Yields